Business News

Biden vows to block US Steel acquisition by a Japanese company and promises tariffs on Chinese steel

PITTSBURGH (AP) — President Joe Biden has told an audience of cheering unionized steelworkers that his administration will block the acquisition of U.S. Steel by a Japanese company, potentially. And he’s calling for a tripling of tariffs on Chinese steel. The Democratic president is seeking to use trade policy to win over working-class votes in Pennsylvania, an election-year battleground. He said Wednesday that U.S. Steel “has been an iconic American company for more than a century and it should remain totally American.” His administration is reviewing the proposed acquisition by Japan’s Nippon Steel. On the tariff front, Chinese imports account for only a small percentage of the steel products coming into the United States so the higher fees are largely symbolic.

Boeing put under Senate scrutiny during back-to-back hearings on aircraft maker’s safety culture

An engineer at Boeing alleges the aircraft company is taking manufacturing shortcuts that could lead to jetliners breaking apart. The engineer, Sam Salehpour, testified before a Senate subcommittee on Wednesday about about Boeing’s 787 Dreamliner. “They are putting out defective airplanes,” he said. Hundreds of Dreamliners are in use by airlines, mostly on international routes. Salehour spoke while another Senate committee held a separate hearing on the safety culture at Boeing. The company has been under multiple investigations and in crisis mode since a door-plug panel blew off a 737 Max jetliner during an Alaska Airlines flight in January.

Tesla asks shareholders to restore $56B Elon Musk pay package that was voided by Delaware judge

DETROIT (AP) — Tesla is asking shareholders to restore a $56 billion pay package for CEO Elon Musk that was rejected by a Delaware judge this year, and to shift the company’s corporate home to Texas. Stockholders will vote on the changes at a June 13 annual meeting. The proposals come as the electric vehicle maker struggles with falling global sales, slowing electric vehicle demand, an aging model lineup and a stock price that has tumbled 37% so far this year. In January, the Delaware court ruled that Musk is not entitled to the huge compensation plan that was to be granted over 10 years starting in 2018. But in a regulatory filing, Chairperson Robyn Denholm said Musk met all the stock value and operational targets in the package that was approved by shareholders.

Stock market today: Wall Street dips as S&P 500 heads toward its longest losing streak since January

NEW YORK (AP) — U.S. stock indexes are slipping, weighed by sinking technology stocks, and the S&P 500 is on track for a fourth straight loss. The index was 0.5% lower Wednesday and heading for its longest losing streak since early January. The Dow Jones Industrial Average was down 27 points, and the Nasdaq composite was 0.9% lower. Tech stocks slumped after ASML, a Dutch company that’s a major supplier to the semiconductor industry, reported weaker orders for the start of 2024 than analysts expected. Treasury yields fell following a tumble in oil prices to ease some of the pressure on the stock market.

An NPR editor who wrote a critical essay on company has resigned after being suspended

NEW YORK (AP) — A National Public Radio editor who wrote a critical essay saying that his company had become intolerant of all but liberal views has resigned. Uri Berliner, an editor on NPR’s business desk, posted his resignation letter on social media. A day earlier, NPR reported that Berliner had been suspended for five days without pay for violating company rules about writing for an outside organization without permission. NPR wouldn’t comment on Berliner’s post on Wednesday. The former editor had written his essay last week for the online site Free Press.

Supreme Court makes it easier to sue for job discrimination over forced transfers

WASHINGTON (AP) — The Supreme Court has made it easier for workers who are transferred from one job to another against their will to pursue job discrimination claims under federal civil rights law, even when they are not demoted or docked pay. Justice Elena Kagan wrote for the court Wednesday that workers only have to show that the transfer resulted in some, but not necessarily significant, harm to prove their claims. The justices unanimously revived a sex discrimination lawsuit filed by a St. Louis police sergeant after she was forcibly transferred, but retained her rank and pay. Sgt. Jaytonya Muldrow filed suit under Title VII of the Civil Rights Act of 1964. Lower courts had dismissed Muldrow’s claim, concluding that she had not suffered a significant job disadvantage.

New study calculates climate change’s economic bite will hit about $38 trillion a year by 2049

A new study says climate change will reduce future global income by about 19% in the next 25 years compared to a fictional world that’s not warming, with the poorest areas and those least responsible for heat-trapping gases taking the biggest monetary hit. Wednesday’s study says climate change’s economic bite in the global domestic product is already locked in to be about $38 trillion a year by 2049. By the end of the century, the financial cost could hit twice what previous studies estimate. Poorer nations and those that didn’t cause climate change will take bigger financial hits.

Fed’s Powell: Elevated inflation will likely delay rate cuts this year

WASHINGTON (AP) — Federal Reserve Chair Jerome Powell cautioned that persistently elevated inflation will likely delay any Fed interest rate cuts until later this year, opening the door to a period of higher-for-longer rates. “Recent data have clearly not given us greater confidence” that inflation is coming fully under control and “instead indicate that it’s likely to take longer than expected to achieve that confidence,” Powell said during a panel discussion. “If higher inflation does persist,” he said, “we can maintain the current level of [interest rates] for as long as needed.” His comments suggested that without further evidence that inflation is falling, the central bank will likely carry out fewer than the three quarter-point reductions its officials had forecast in March.

US reimposes oil sanctions on Venezuela as hopes for a fair presidential election fades

MIAMI (AP) — The Biden administration has reimposed crushing oil sanctions on Venezuela in a rebuke to President Nicolas Maduro’s attempts to consolidate his rule just six months after the U.S. eased restrictions in a bid to support now fading hopes for a democratic opening in the OPEC nation. In October, the U.S. granted Maduro’s government relief from sanctions on its state-run oil, gas and mining sectors after it agreed to work with members of the opposition to hold a free and competitive election this year. Instead, the ruling party used its almost total control over Venezuela’s institutions to undermine the agreement. Wednesday’s actions give U.S. companies 45 days to unwind any operations in Venezuela.

UK inflation falls to lowest level since late 2021 as food prices ease further

LONDON (AP) — Inflation in the U.K. fell to its lowest level in two and a half years in March after a further easing in food prices. The Office for National Statistics said Wednesday that consumer prices rose by 3.2% in the year to March, down from 3.4% in February. That’s the lowest level since September 2021. Inflation is still running higher than the Bank of England’s target of 2% but the direction of the move appears clear. It is set to fall further in April, possibly to below 2%, as a result of sharply lower domestic energy bills, which economists think could prompt rate-setters to consider a cut in interest rates in the next few months.